Considerations to Make When Choosing a Mortgage
7th December 2015
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Underpinning everything that goes with moving house is your mortgage; it is the make or break factor of you owning your own home.  Whether you are a first time buyer, current home owner looking to move to a new property or someone who’s investing in a second property, the mortgage takes control of these prospects unless you are in the very rare and fortunate position to be able to buy a house outright.

As a first time buyer, the numerous mortgage options are simply a blur and, although someone who has taken on a mortgage before may have a greater awareness as to what you’re looking for in a mortgage, there is still so many factors that can make a big difference in the long run.   

Wherever you are in the home owning process, it’s worth seeking as much advice as possible from independent financial advisors.  They are impartial and will be able to explore various options on your behalf and explain clearly exactly what each option will mean for you.  However, as a guide here are some top tips to help you find the right mortgage for you…

The Fees – When choosing a mortgage, it’s important to look at the fees as well as the repayment rate.  Low repayment rates tend to carry pretty high fees and you’ll need to take this initial payment into account against your budget for moving into your home.

Browsing – Whether you are getting assistance from an independent financial advisor or sorting out your own mortgage, it is advisable to shop around.  Each mortgage lender will have a range of options with varying fees and repayment rates and it may appear that they have something for everyone.  However, it is better to check rates for more than just one company.  If you find a mortgage that suits you with one company, check this against what other companies can offer you.

Payments – Consider how you will pay for the different components of the mortgage.  Whilst you may have found an option where you know you can afford the monthly repayments, you also need to consider the fees and other components of the payments.  If your fees are quite low, it may be that the company has placed other components of the mortgage into your repayments, which will be charged with interest throughout the life of the mortgage. 

Tie-Ins – Consider how long you will be tied into your mortgage.  This is not just taking into account the years given to repay it, some packages will tie you in for certain periods and to settle the mortgage prior to this may mean that you have to pay a redemption penalty. 


These are just a few of the many things you should explore when considering a mortgage.  There is so much more to consider and to get advice and assistance with finding the right mortgage for you contact Heather at AMG Mortgages in Stafford.

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